discharge by frustration

• discharge by frustration

  unforeseen events outside the control of the parties make performance impossible.-not liable- Taylor v Caldwell

  - force majeure clause- Frustration requires performance become impossible as a result of outside events beyond the control and contemplation of the parties.
• event which resulted in impossibility

  no fault of the contracting parties- Jackson v Union Marine 

  - Robinson v Davidson-illness

  Contact illegal to perform- Denny Mott and Dickson v  James

  commercial purpose cannot be achieved- Krell v Henry
• when frustration CAN apply

  Then confirm, by applying to the scenario, that:

   

  2. The above chosen event was NOT the fault of either party to the contract, AND

  •        

  3. The event has significantly changed the nature of the outstanding obligations.
• when frustration CANNOT be applied - self induced

  -Maritime National Fish v Ocean - Frustration will not apply when the frustrating event is within the control of one party.
• when frustration CANNOT be used - becomes less profitable

  -Tsakiroglou v Noblee
• when frustration CANNOT be used - event being forseeable or was within contract

  Amalgamated v John